Natarajan's exit from the key ministry followed persistent differences with senior Cabinet colleagues as important projects missed clearance deadlines. (BCCL)

NEW DELHI: Environment and forests minister Jayanthi Natarajan's exit from the key ministry followed persistent differences with senior Cabinet colleagues as important projects missed clearance deadlines set by the Cabinet Committee on Investment (CCI).

The ministry was at odds with chief ministers as well, with Maharashtra CM Prithviraj Chavan's bid to seek a relook at a regulation linking height of construction to road width falling on deaf ears. Under the Central notification, a building cannot go beyond seven floors or 60 metres up if the road is less than 30 metres wide.

Though the rule is based on safety guidelines, Maharashtra government has argued Mumbai simply does not have the space for projects to implement this regulation without any exceptions.

If Mumbai's real estate had a problem, there is a list of projects reviewed by CCI where specific times lines set for the ministry to offer its opinion went a begging.

Projects where decision timelines were not met include Chennai Petrochemicals Corporation Limited (CPCL) project for a new 42-inch crude oil pipe line from Chennai to CPCL refinery at Manali, Gujarat State Petroleum Corporation's LNG terminal at Mundra and Sagar Super Thermal Power Projects in West Bengal.

The CCI had been set up by Prime Minister Manmohan Singh to fast track decision-making by getting ministries concerned around a table to sort out "doable" and absolutely no-go projects. The view that the MoEF was thwarting the CCI went down badly.

In some cases, the ministry's caution was perceived as justified, as it was felt that the government was lurching from a restrictive approach to a permissive one, under pressure to boost falling growth. But in several cases, delays in decisions were seen to be inexplicable.

A majority of pending clearances relate to power projects in different states. Some 31 power projects are pending environmental clearance as on November 30. A maximum of five of such projects are in Madhya Pradesh, four in Arunachal Pradesh, three each in Chhattisgarh, Maharashtra, Odisha and Uttar Pradesh, two in Karnataka and one each in Bihar, Gujarat, Haryana, Himachal Pradesh, Jharkhand, Uttarakhand, Sikkim and West Bengal.

It remains to be seen if the antidote will work as the ministry is now under charge of Moily and some see a conflict of interest between the petroleum sector and environment. Seeking to send a signal to 'babus' about his expectations, Moily on Monday asked officials to ready a list of pending projects that can be cleared in 30 days under existing rules.

The new minister is also expected to write to all infrastructure and development ministries as well as states seeking a list of pending projects that need quick attention. Moily, however, will not be able to do much about mega projects like Vedanta and Posco in Odisha that face court procedures.

With Chavan expected to meet Moily soon, Maharashtra projects under discussion include expansion of the Mumbai-Goa highway, increasing length of the coastal road in Mumbai, the New International Airport in Navi Mumbai and demand of the Confederation of Real Estate Developers Associations of India (Credai) for setting up a new the committee for environment impact assessment of realty projects of the rest of Maharashtra and mining projects.